Barclays Returns to Saudi Arabia, Signaling a New Era

Barclays Plc is making a noteworthy comeback to Saudi Arabia after an 11-year hiatus, which not only signifies a significant strategic move for the British banking giant but also serves as a testament to Riyadh’s rising prominence as the epicenter of corporate activity in the Middle East. This development, initially reported by Bloomberg, aligns perfectly with the kingdom's ambitious Vision 2030 framework aimed at diversifying its oil-dependent economy while attracting multinational corporations to establish their regional headquarters in its capital.

Having left Saudi Arabia in 2014, Barclays is now in the process of obtaining a new investment banking license and has plans to establish offices in Riyadh by early 2026, as revealed by CEO C.S. Venkatakrishnan during an interview with Bloomberg TV. He was present at the Fortune Global Forum and the kingdom’s prominent annual Future Investment Initiative summit. Confirming Barclays’ re-entry, Investment Minister Khalid Al-Falih stated that the kingdom is set to recognize the new regional headquarters shortly, emphasizing that “the kingdom is a long-term partner. We’re not transactional.”

In a conversation with Fortune Editor-in-Chief Alyson Shontell, Venkatakrishnan highlighted the significance of collaborating with reliable partners. He noted, “You’re making fairly large commitments financially and otherwise, and you need to work with partners whom you can trust and who will help you through the teething troubles.”

Barclays is joining the ranks of other financial powerhouses like Citigroup, Goldman Sachs, and HSBC, all of whom are deepening their presence in the Gulf region’s largest economy. In contrast, JP Morgan is celebrating 90 years of operations in the area. This shift underscores Saudi Arabia’s goal of evolving from a petroleum-dependent nation into a diversified global business and financial hub, while also serving as a strategic point for businesses to easily connect with three different continents.

The Broader Regional Headquarters Initiative

The nine-year-old Vision 2030 economic transformation plan is reportedly 85% complete, as stated by Minister Al-Falih during his opening remarks at the Fortune Global Forum. The initiative has successfully attracted over 675 regional headquarters, surpassing its original goal of 500 by 2030. This achievement has been facilitated through generous incentives, including 30-year tax exemptions, tax relief, and streamlined regulatory frameworks.

Launched in 2021 by the Royal Commission for Riyadh City, the government’s Regional Headquarters Program aims to position the capital as the primary economic nucleus of the Middle East. Major multinational corporations such as PwC, Deloitte, Lenovo, and Siemens Energy have already shifted their leadership operations from Dubai and other hubs to Riyadh. Unlike the special economic zones found in other regions, the RHQs in Riyadh are designed to foster long-term growth and operational stability.

This ambitious initiative illustrates Saudi Arabia's commitment to reshaping its economic landscape and establishing itself as a formidable player on the global stage, attracting both talent and investment in the years to come.